Comparing Two Companies in the same industry Code and para read The case should be comleted after responding to the redements in Dection Cow 13.2. Bater to the financial statement formation of Chole and our lead wed the Questions Required: 1. Using the format in Example 13.5. perpare common are comparative income statements for 2015 and 2014, for part to revenue as the base 100) Round percentages to one decimal place of an amount is feave it back. If an amounts negative number terminus (-)sign Note: Due to rounding totals may not add up to 100%. Panera Bread Common Size Comparative Income Statements For The Years Ended December 29, 2015 And December 30, 2014 (in Thousands of Dollars) 2015 Dollars 2015 Percent 2014 Dollars 2014 Percent Revenues Bakery cale sales her 2.100.00 40 X 3131 Franchise royalties and fees 112,641 X 7) X 133.686 Fresh dough and other product sales te frechisees 163453 X 175.13 Total revenues 2.385.002 x 2529.195 100 Costs and expenses Bakery.cafe expenses Cost of food and paper products 66 x 625.622 X 26 49 69 100 UBRUK Print item ORG Cost of food and paper products 669 160 x 2.5 X 625.622 x 26.2 X Labor 625.457 26.2 X Occupancy Other operating expenses Total bakery-cafe expenses Fresh dough and other product cost of sales to franchisees Depreciation and amortization 100000 General and administrative expenses Pre-opening expenses Refranchising loss Total costs and expenses Operating profit Interest expense Other (income) expense, net DODILI JO110|0|0|0ODI Income before income taxes Income taxes General and administrative expenses Pre-opening expenses Refranchising loss Total costs and expenses Operating profit Interest expense 10000doci Other (income) expense, net Income before income taxes ndod Income taxes Net income Feedback Check My Work Common-size statements recast all items on the statement as a percentage of a selected item on the statement. This excludes size as a relevant varia 2. The common-size comparative Income statements indicate the relative importance of items on the statement. Compare the common-site income statem EXAMPLE 13-5 Preparing and Reading Common-Size Income Statements Vertical Analysis Common-size comparative income statements for Henderson are presented below. Henderson Company Common-Size Comparative Income Statements For the Years Ended December 31, 2017 and 2016 (all amounts in thousands of dollars) 2017 Dollars 2016 Dollars Percent Percent $ 24,000 18,000 $ 6,000 100.0% 750 25.0% $ 20,000 14,000 $ 6,000 100.0% 70.0 30.0% Gross profit percentage of sales is the gross profit ratio Net sales Cost of goods sold Gross profit Selling, general, and administrative expense Operating income Interest expense Income before tax Income tax expense Net income 3,000 $ 3,000 140 $ 2,860 1140 $ 1.720 125 125% 0.6 11.9% 48 7.1% 2,000 $ 4.000 160 $ 3.840 1.540 $ 2.300 100 20.0% 08 19.2% 11.5% The ratio of net income to net sales is the profit margin ratio Note Referenced amounts aro boldfaced for convenience OP - * w